Why IREN is Expanding its AI Data Centre Capacity
As every new AI model needs somewhere to live, the challenge is finding enough infrastructure to support it.
With demand for AI compute surging, providers are racing to add power and data centre capacity faster than customers can consume it.
That pressure has translated into a larger expansion programme by IREN and a higher revenue target as it builds out its AI cloud platform.
- The company has increased its year-end annualised AI Cloud revenue target from US$3.7bn to more than US$4bn after signing new multi-year cloud services contracts with leading AI developers.
- Around 85% of that target is now under contract, with the latest agreements representing US$2.8bn in total contract value.
The announcement reflects the growing demand for AI-ready data centres across North America, Europe and Asia-Pacific, where IREN is expanding its vertically integrated platform.
Scaling AI infrastructure
IREN's customer base now includes Microsoft, NVIDIA, Perplexity, Figure AI, Together AI, Fluidstack, Fireworks AI, Fal AI, Hume AI and another unnamed AI developer, spanning both bare metal and managed cloud services.
The company says it is selective about allocating capacity before new facilities are commissioned, prioritising a diversified customer base while demand from hyperscalers, enterprises, AI developers and frontier labs continues to exceed both its operational and planned capacity.
It is already in discussions with customers for infrastructure due to come online throughout its 2026 and 2027 expansion programme.
Daniel Roberts, Co-Founder and Co-CEO of IREN, says: "Our vertically integrated AI Cloud platform is scaling at pace.
"In the past 12 months we have expanded from approximately 3MW of self-built AI Cloud capacity to 480MW being delivered this year, with 1.2GW targeted for 2027, broadening our customer base across hyperscalers, enterprises and AI developers."
The figures highlight the scale of IREN's infrastructure ambitions, with the company targeting 1.2GW of AI cloud capacity by 2027.
Contracts underpin expansion
Alongside expanding capacity, IREN says the structure of its latest customer agreements is helping finance future deployments.
Our vertically integrated AI Cloud platform is scaling at pace.
Recent contracts include customer prepayments covering around 45% of the GPU capital expenditure associated with those deployments, reducing the company's net funding requirement.
Across its portfolio, customer agreements have a weighted average term of approximately four years.
As of 30 June 2026, IREN held approximately US$7.6bn in cash and cash equivalents, providing financial backing for its continued data centre expansion.
Daniel adds: "We are proud to support leading companies building frontier applications across design, physical AI and robotics, generative media, AI search and model development."
Company portals
Executives
Daniel Roberts
Co-Founder & Co-CEO
